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Taiwan: Stocks fall to 2-month lows amid concerns over local economy

[TAIPEI] Taiwan stocks fell on Tuesday, breaking a key technical level to send the main index toward two-month lows amid concerns its trade-reliant economy is struggling to shake off last year's recession as prolonged weakness in global demand weighs on key exporters.

As of 0248 GMT, the main Taiex index fell 0.9 per cent, to 8,299.15, breaching the 8,372 half-year technical level. It closed down 1.1 per cent on Friday.

Financial markets in Taiwan were shut Monday for a holiday.

The electronics subindex fell 1.2 per cent, while the financials subindex was unchanged.

The April reading of manufacturing activity in Taiwan issued on Monday, as measured by the Nikkei/Markit Taiwan PMI, showed a setback in production, after the local economy shrank more than expected in the first quarter.

The Taiwan dollar firmed T$0.07 to T$32.211 per US dollar.

REUTERS